Universal Technical Institute shares dropped sharply after the Company released fiscal Q3 2026 results and lowered its full-year baseline adjusted EBITDA target to above $135 million, down from more than $155 million. The reduction came in a quarter in which revenue grew 7.2% year over year to $218.9 million. Management attributed roughly 70% of the EBITDA reduction to weaker-than-expected fourth-quarter starts in the high-school auto and diesel channel, with the remainder tied to a faster mix shift toward shorter-duration, lower-margin programs. The concentration of the shortfall in a single enrollment channel is a focus of the investigation, which concerns whether UTI adequately disclosed the condition of that channel and the pace of the program mix shift before the outlook was reset.